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Posted in Paying Your Bills
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BvI786

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is it better to make several large on time payments or one lump sum that pays off a debt?

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If you can afford to pay off the loan without overextending yourself and causing you to run up your utilization or even more importantly, causing you to miss a payment somewhere else, I would definitely pay it off in full as soon as possible. 

1) It saves you whatever interest is accruing on the debt.

2) It will signigicantly decrease your debt.

Please note, you have asked a very general question. There could be scenarios involving pay-off penalties where it makes more sense to make installment payments but those scenarios are probably rare. 

Good Luck!

Dan

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